CMHC Insurance Premiums to Increase Effective May 1, 2014

 

At 8am this morning CMHC announced that they are increasing insurance premiums for the first time since the late '90s. 

The increases are as follows: 

  • Up to and including 95% will go from 2.75% to 3.15%
  • Up to and including 90% will go from 2% to 2.4% 
  • Up to and including 85% will go from 1.75% to 1.8%
  • Up to and including 80% will go from 1% to 1.25% 
  • Up to and including 75% will go from .65% to .75%
  • Up to and including 65% will go from .5% to .6%
This means a typical Buyer purchasing a $350,000 with 5% down will now pay $10,473.75 compared to $9,143.75. An increase of $1,330. 

These increases go into effect May 1, 2014. This is a good opportunity to add value to any friends, family or prospects sitting on the fence. 
 
Compliments of Zach Silverman, Silverman Mortgage Group (www.silvermanmortgage.com)